Orry Van de Wauwer, General Director of Pax Christi Vlaanderen, warned on Thursday against excessively relaxing the region’s weapons trade decree.
Speaking at the Defence Conference held in the Flemish Parliament, Van de Wauwer argued that such a move could lead to a loss of control over the end-users of strategic goods, jeopardising national safety if these weapons fall into the wrong hands.
The Government of Flanders plans to amend the Weapons Trade Decree, which regulates export licences. This intention, outlined in the Flemish coalition agreement, was reiterated at the conference by Flemish Minister-President Matthias Diependaele.
No Europe-wide legislation on arms exports
Details will be disclosed in the Flemish Defence Plan in two weeks’ time. The aim is to balance administrative efficiency with the necessary diligence in licensing and export control, making procedures simpler and risk-adjusted.
The coalition agreement also states that the referential framework for Flanders is “more than ever” European. However, the conference highlighted that European convergence on defence was still lacking.
Frank Meeussen from the Department of Foreign Affairs noted that EU Treaty Article 346 allows exceptions for essential security interests, and there is no European legislation on arms exports: Saudi Arabia is the top destination for European arms exports, while some countries ban the sale of weapons there.
The Aachen Treaty between France and Germany gives export-licence decisions to the country where the final producer is based.
€100 million in new annual credits for the defence sector
Pax Christi Vlaanderen fears this could leave Flemish suppliers with no control over the end-user.
Jolyce Demely from Agoria cautioned against “gold-plating,” a situation in which Flanders sets requirements that are stricter than Europe’s. She stressed the need to be realistic, as end-users are not always known, but trust in European partners is essential.
Traceability is also crucial for sector financing. Tom Van den Berghe from Febelfin explained that banks consider compliance and ethical risks in credit decisions, alongside financial risks.
Banks are assessing whether to stay involved in the defence sector. However, the National Bank’s figures show €100 million in new annual credits and €600 million in outstanding credits, which is significant given the defence sector’s weight in the Belgian economy.
